Inconsistent Statement - Asian Trade Deficit
XAT 2012 · Verbal Ability & Logical Reasoning · Medium · Critical Reasoning
Most of the Asian countries have trade-deficit with China. Bangladesh's trade deficit with China this year has increased by 35%. Despite large increases in exports to China, Indonesia's trade deficit with China continues to increase. So does that of South Korea, home of Samsung Electronics, one of the world's largest manufacturers of electronic gadgets.
Which of the following, if true, would be most inconsistent with the above passage?
- A.
China is the largest manufacturer of parts of electronic gadgets and Samsung Electronics imports parts for their gadgets from China.
- B.
Exports to Bangladesh are insignificant in proportion of China's total exports.
- C.
Exports to Indonesia from China decreased.
- D.
Indonesia's chief exports are natural resources.
- E.
China has trade deficit with Iran.
C
Explanation
Trade deficit = Imports - Exports. For Indonesia's trade deficit with China to increase despite a large increase in Indonesia's exports to China, China's exports to Indonesia (Indonesia's imports from China) must have increased at an even higher rate. Saying exports to Indonesia from China decreased contradicts this.
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